Dalian Commodities Exchange

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DEFINITION of 'Dalian Commodities Exchange'

A commodities exchange located in Dalian, China. The Dalian Commodities Exchange trades futures contracts on soybeans and soybean oil, corn, palm oil, soymeal and LLDPE (a petroleum product). The exchange is ranked as the second-largest trader of agricultural futures in the world.

INVESTOPEDIA EXPLAINS 'Dalian Commodities Exchange'

The Dalian Exchange was established on February 28, 1993, and has the deepest pool of liquidity of any commodities exchange in China. It is a non-profit, self-regulating entity with about 200 members and over 160,000 investors. It also has the largest volume of any commodities exchange in China.

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RELATED FAQS
  1. How do futures contracts roll over?

    Traders roll over futures contracts to switch from the front month contract that is close to expiration to another contract ... Read Full Answer >>
  2. How are American Depository Receipts (ADRs) priced?

    The price of an American depositary receipt (ADR) is determined by the bank or other financial institution that issues it. ... Read Full Answer >>
  3. Why do companies enter into futures contracts?

    Different types of companies may enter into futures contracts for different purposes. The most common reason is to hedge ... Read Full Answer >>
  4. What does a futures contract cost?

    The value of a futures contract is derived from the cash value of the underlying asset. While a futures contract may have ... Read Full Answer >>
  5. How are American Depository Receipts (ADRs) exchanged?

    American depositary receipts (ADRs) are bought and sold on regular U.S. stock exchanges, either in the over-the-counter market ... Read Full Answer >>
  6. What are the main risks associated with trading derivatives?

    The primary risks associated with trading derivatives are market, counterparty, liquidity and interconnection risks. Derivatives ... Read Full Answer >>
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